Michael Williams to Resign as Fannie Mae CEO

Michael Williams, CEO of Fannie Mae, has revealed that he intends to step down from his role as chief of the government-sponsored enterprise, although he will continue in the post until a successor can be found.

In a statement published in CNN Money, Williams did not give any specific reasons for his decision to leave the post, simply stating that “the time is right to turn over the reins to a new leader.”

Mr. Williams took over as CEO of Fannie Mae back in 2009, as the mortgage giant’s financial struggles were reaching a crescendo. Things haven’t got much better for Fannie Mae during William’s tenure, as the GSE recently announced $5.1 billion third quarter losses last November.

The decision to quit Fannie Mae comes just a few months after sister company Freddie Mac’s CEO, Charles E. Halderman, revealed that he also plans to step down in the next few months, although he hasn’t yet given a date for leaving.

Executives at the two GSEs have faced intense scrutiny over the last few months for receiving hefty paychecks and big bonuses, at a time when both Fannie Mae and Freddie Mac have had to ask for more bailout money from the government, says CNN Money. According to their report, Williams and Halderman are said to have earned around $6 million each over the last year.

The GCEs continue to leak money as a result of the foreclosure crisis. So far, Fannie Mae and Freddie Mac have been bailed out to the tune of $150 billion, a figure that could soon rise to $259 billion if their pleas for more money are granted, reported CNN Money.